orangecrush
04-02-2008, 05:24 PM
I need advice in regards to my options for my student loan debt.
All of my loans are private. Half were certified through my carribean school. The other half are residency relocation loans. My school is not a Title IV school, meaning I could never obtain Federal Stafford loans.
"For the purpose of this paragraph, the definition of of a qualifying education loan includes loans made solely to pay the higher education expenses of an eligible student, where the student is either the debtor, the spouse of the debtor, or the dependent of the debtor. In addition, the loans must be for study at a school that is eligible to participate in Title IV programs and where the student is enrolled at least half time. Loans that don't meet this definition, such as credit card debt, are still dischargeable even if they were used to pay for higher education expenses." From Finaid.org
I have tried to match for two years unsuccessfully. My loans are coming due and I cannot afford them on an average salary. I understand the new bankruptcy law in 2005 states that both Stafford and Private loans are not dischargeable unless undue hardship can be demonstrated.
"Section 220 of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), P.L. 109-8, extended similar protections to "qualified education loans" starting on October 17, 2005, even when they are not funded or guaranteed by a nonprofit organization. Qualified education loans is defined to include any debt incurred by the taxpayer solely for the purpose of paying for qualified higher education expenses of the taxpayer, the taxpayer's spouse, or any dependent of the taxpayer. (Dependency is determined as of the time the taxpayer took out the loan.) Interestingly enough, most private student loan programs seem to have some sort of nonprofit involvement." Finaid.org
Also,
"Eligible student is defined by IRC section 25A(3) as a student enrolled at least half time in a degree or certificate program at a Title IV institution (per Section 484(a)(1) of the Higher Education Act of 1965)." Finaid.org
I want to see if anyone has any clue on how to discharge these private education loans. Any advice or stratagies are appreciated. I have been in contact with a bankruptcy lawyer. Many lawyers are very unfamiliar with this type of request.
All of my loans are private. Half were certified through my carribean school. The other half are residency relocation loans. My school is not a Title IV school, meaning I could never obtain Federal Stafford loans.
"For the purpose of this paragraph, the definition of of a qualifying education loan includes loans made solely to pay the higher education expenses of an eligible student, where the student is either the debtor, the spouse of the debtor, or the dependent of the debtor. In addition, the loans must be for study at a school that is eligible to participate in Title IV programs and where the student is enrolled at least half time. Loans that don't meet this definition, such as credit card debt, are still dischargeable even if they were used to pay for higher education expenses." From Finaid.org
I have tried to match for two years unsuccessfully. My loans are coming due and I cannot afford them on an average salary. I understand the new bankruptcy law in 2005 states that both Stafford and Private loans are not dischargeable unless undue hardship can be demonstrated.
"Section 220 of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA), P.L. 109-8, extended similar protections to "qualified education loans" starting on October 17, 2005, even when they are not funded or guaranteed by a nonprofit organization. Qualified education loans is defined to include any debt incurred by the taxpayer solely for the purpose of paying for qualified higher education expenses of the taxpayer, the taxpayer's spouse, or any dependent of the taxpayer. (Dependency is determined as of the time the taxpayer took out the loan.) Interestingly enough, most private student loan programs seem to have some sort of nonprofit involvement." Finaid.org
Also,
"Eligible student is defined by IRC section 25A(3) as a student enrolled at least half time in a degree or certificate program at a Title IV institution (per Section 484(a)(1) of the Higher Education Act of 1965)." Finaid.org
I want to see if anyone has any clue on how to discharge these private education loans. Any advice or stratagies are appreciated. I have been in contact with a bankruptcy lawyer. Many lawyers are very unfamiliar with this type of request.